Cummins India Ltd.Distribution Records & Double-Digit Growth Affirmed

Cummins India reported Q3 FY26 revenues of ₹3,006 Cr, broadly stable year-on-year, with domestic sales at ₹2,535 Cr and exports at ₹471 Cr.

Profit before tax (pre-exceptional) rose 7% YoY to ₹719 Cr, while gross margins reached a 20-quarter high of approximately 38%, up 300 basis points YoY, driven by product mix, material cost reduction, and one-time supplier benefits. A one-time management cost true-up of approximately ₹50 Cr impacted other expenses but will even out over the year. The domestic Power Gen decline of 16% YoY to ₹1,069 Cr was attributed entirely to data center execution lumpiness — Q2 saw outsized delivery — with core Power Gen growing near double digits.

Distribution business hit an all-time quarterly record at ₹939 Cr, up 26% YoY, driven by broad-based aftermarket growth. Management reaffirmed double-digit revenue growth for FY26 and extended this guidance to FY27 domestic markets, citing India's upwardly revised 7.4% GDP growth, strong government infrastructure spend, and a 3-4 year positive data center pipeline. Export demand remains choppy with no clear geographic trend.